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Home » Daily Technical Reports » Gold Today Technical Report 02/05/2016

Gold Today Technical Report 02/05/2016

Gold kept trading north on Friday and managed to emerge above 1278 (S1), the upper bound of the sideways range the metal had been trading since the last days of February. However, the advance was stopped slightly below the 1300 (R1) hurdle. In my opinion, the move above 1278 (S1) has turned the outlook positive and therefore, I would expect a decisive move above 1300 (R1) to open the way for the 1320 (R2) level, marked by the peak of the 14th of August. For now though, I believe that a pullback could be looming before buyers decide to take control again, perhaps to challenge the 1278 (S1) area as a support this time. Our oscillators corroborate my view as well. The RSI has topped within its above-70 territory, while the MACD, although above bot its zero and trigger lines, shows signs of topping as well. Switching to the daily chart, I see that the close above 1278 (R3) has signaled the resumption of the prevailing long-term uptrend.

Gold 02

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